ISLAMABAD – Pakistan has recorded a 16.5% increase in foreign investment, reaching $1.20 billion in the first 10 months of the 2024–25 fiscal year. This growth comes amid economic reforms aimed at boosting investor confidence.
However, private sector foreign investment declined by 22%, dropping to $1.49 billion, as concerns over regulatory hurdles and market uncertainty slowed capital inflows. Meanwhile, foreign direct investment (FDI) fell by 2.8%, totaling $1.78 billion, highlighting the need for structural reforms to attract long-term investors.
The stock market saw an outflow of $290 million, reflecting cautious behavior from foreign investors awaiting political and economic stability. Additionally, public sector foreign investment declined by $285.5 million, likely due to reduced government borrowing and fewer large-scale infrastructure projects.
Despite mixed sectoral performance, experts suggest that policy consistency and investor-friendly regulations could sustain and expand Pakistan’s foreign investment momentum.
